Texas Workforce Commission Finally Issues 2021 Unemployment Tax Rates

Texas Workforce Commission Finally Issues 2021 Unemployment Tax Rates

Dear Texas Client,

Due to the unprecedented Pandemic that has affected individuals and businesses alike since last year, the Texas Workforce Commission (TWC) delayed the annual issuance of state unemployment tax rates from December 2020 to June 2021. This delay allowed Texas time to consider and implement legislation assisting Texas employers.

We’re happy to report that TWC finally issued 2021 unemployment tax rates for Texas employers last month. However, the TWC tax department also issued Employer Statements in error showing outstanding taxes due by the end of the billing month.

These notices are correct, but failed to point out that the due date for the first quarter payment is actually delayed to August 2, 2021.  Per the following TWC website, the first quarter 2021 tax payment is considered to be paid timely if TWC receives payment by August 2, 2021 (https://www.twc.texas.gov/news/covid-19-resources-employers#taxDepartment). We have also taken the time to confirm the due date with a TWC representative.

Payroll Partners is in the process of updating all first and second quarter 2021 tax rates accordingly.  Both the first and second quarter 2021 tax payments will be debited from your assigned bank account approximately around July 30, 2021 so the payments are considered timely to the TWC.

If you should have any additional questions, please feel free to contact our Tax Department at (817) 226-8111 or by email at tax@payrollpartners.com.

Robert Hernandez
Operations Manager

This information is provided with the understanding that Payroll Partners is not rendering legal, human resources, or other professional advice or service. Professional advice on specific issues should be sought from a lawyer, HR consultant or other professional.